Are HOAs Good or Bad?
Homeowners associations are designed to protect property values and maintain a consistent and pleasant living environment. To accomplish this purpose, they impose rules on residents. Are you trying to decide whether you should buy in and HOA or look for a place not bound by HOA restrictions? Here are some questions you can ask before buying a property in an HOA.
Can You Afford It?
HOAs are funded by homeowner members through their monthly/quarterly/annual dues. Knowing the cost of the dues and when they are assessed is important information in your decision making process. Pro Tip: Ask them about the process of changing rules and dues. Also ask what the transfer fees will be in your closing process.
What Are The Rules?
All homeowner members mustadhere to a set of rules. These are best known as covenants, conditions and restrictions of CC&Rs. These rules set a standard for many facets of home ownership in the neighborhood, such as lawn maintenance, architectural design, and where you can parkvehicles. Review thee CC&Rs prior to placing your offer. You don’t want to find out after closing that you can’t store your RV in the driveway. Pro Tip: Consider asking whhen the last time they raised dues and for a blance statment on the association account.
What Amentities Are Included?
HOA dues are used to maintain common areas and neighborhood amenities, such as pools, parks and trails. Understand what you’ll be paying for and note that even if you do not use the features, they could add to the value of your property.
Do You Want To Get Involved
Homeowner Associations can be a great way to meet your neighbors and keep on top issues in the neighborhood.
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Interested in buying a house and don't know where to start? Download a copy of my informative buyer's guide to help walk you through your home-buying process. You can also visit my YouTube Channel for a series of videos about how to go about buying your next home.
